The affordability efforts continue, because additional cost reductions are needed, and are supported by reductions in executive ranks and overhead costs. By the end of 2012, BDS expects to have 30 percent fewer executive positions than in 2010.

"We are at one of the most challenging yet opportunity-rich times in our history," Muilenburg said. "While funding for the U.S. Department of Defense is under extreme pressure, we're innovating and expanding our core, in the U.S. and around the globe, to sustain and grow our business."

A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world's largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $32 billion business with 61,000 employees worldwide. Follow us on Twitter: @BoeingDefense.